Wall Street Meltdown Creates Highest
Yields in a
Generation

Dear Investor:

If pulling down annual yields of 15%, 20% and more a year sounds
good to you -- before capital gains -- keep on reading.

The Wall Street meltdown has
created the highest dividend yields we've seen since 1987. Yields of
16.3%... 19.9%... even 28.9%!

This rare opportunity lets you lock in some incredibly high yields on low-risk stocks.

I don't know how long this window of super-high yields is going to
stay open -- a few weeks, perhaps
months. But if you're looking to
rebuild your portfolio in the months
ahead, you'll want to claim your
share of this rare high-dividend gold
mine right now.

As you'll see in this Special Report
of High-Yield Investing, plenty of
investors are racking up solid profits by focusing on companies that put shareholders first-- by sharing their profits in the form of steadily increasing cash dividends.

For a prime example of what I'm
talking about, keep reading for a profile of one of Carla's latest recommendations -- an unusual REIT yielding 18.5%.

Say "Good-Bye" Forever to Stock Market Worries

Our approach gives you a priceless
opportunity to sit back and enjoy life instead of sweating out the market's ups and downs.

This stress-free approach to wealth
has made thousands of High-Yield
Investing
readers wealthy. Of course, the only performance record that really counts is what High-Yield Investing does for you. So if you prize a high current income, outstanding growth, and above all safety, I'd like to invite you to join the thousands of confident investors who are already
using High-Yield Investing to harness the wealth-building power of these financial juggernauts.

Try Out Our Service FREE

I am sending you this Special Report to introduce you to our work here at High-Yield Investing. In this report, co-editors Paul Tracy and Carla Pasternak lay out their latest thinking for you to peruse at your leisure.

If you like what you see, I invite you to try our monthly advisory at no risk. In addition to all your regular monthly issues, you'll also get midmonth email updates and access to a subscribers-only web site.

I hope you enjoy this Special Report and consider taking us up on this no-lose offer today!

Sincerely,

Lou Betancourt
Publisher

P.S. If you like the idea of a steady
stream of dividend checks in your
mailbox, you'll want to check out
the special report we've prepared
for new subscribers called Cash
Cows: Great Companies With 10%+ Dividend Yields
. Keep reading for details on how to get a free copy of this report.

Who Cares How Bad Stocks Are Doing When You're Pulling in $28,900 a Year in Dividends?

We're Locking in Annual Paychecks of $16,300, $19,900, $28,900 and More for Every $100,000 We Invest...

And our dividends keep growing. Despite this brutal market, the 19 companies in our "Dividend Optimizer" portfolio actually
increased their payouts by +16.2% last year!

By Paul Tracy, Co-Editor, High-Yield Investing
Special Report May 2009

When the market gives you lemons, you might as well make lemonade.

That's what we're doing at High-Yield Investing--taking battered stocks with secure dividends and creating the sort of impossibly generous portfolios that income investors could only dream about a year ago.

     For anyone with the nerve to stare the bear in the face without flinching, the world-wide crash in asset prices isn't a punishing blow--but a gift so rare that we last saw it in 1987.

     It's as if a giant "multiply your money" certificate has dropped into our laps. Every dollar we're investing is giving us two, three, four even five times as much income as it did just a year ago.

     Look around you. You can lock in yields that we haven't seen in 21 years. 157 stocks and other U.S. equities yield more than 21% right now. Sure, a few of them are junk... but 30 of them are REITs.

     These aren't ticking time bombs of toxic derivatives. They're bricks and mortar throwing off rents that go right into your pocket

Hang Up Your Spurs and Never Invest Again

     Buy the right cash cows now and you may be tempted to hang up your investing spurs, sit back and just watch your dividends roll in.

     Put $100,000 into the massive global electric utility Endessa right now, and you're locking in an annual payment of $15,350 per year. A year ago, you would have gotten just $5,900.

     Do the same in Australian airline Qantas and you'll get paid $15,800 per year--up from $7,300 a year ago.

     Go to the oil patch and invest $100,000 into MarkWest Energy Partners and you're buying yourself an income stream of $16,300 per year. A year ago you would have secured a cash flow of just $6,100.

     Shipping firm Capital Product Partners will pay you $28,900 on your $100,000 investment, up from $7,400 a year ago. Similar story with Macquarie International Infrastructure Fund. You can now get $19,900 up from $9,900 last year.

      Pennsylvania REIT will now pay you $29,000 annually on a $100,000 investment. A year ago you'd have earned only $8,500.

     All you need is a handful of stocks like these and you've set yourself up for life. You'll literally never have to invest again. If you're not happy banking 21% year after year, you need to go to Las Vegas, not Wall Street.

Our Income Is Up +16.2%!

       We income investors look at the market a bit differently than "regular" investors. It's not the price of an asset that interests us, it's how much cash it throws our way.

     After all, if you're an income investor, it's the cash in your pocket at the end of the year that counts. And I think it's fair to say that High-Yield Investing subscribers have been more than happy with the cash in their pockets recently.

     At the worst point of the stock-market rout last October, the dividend payouts for the 19 companies in our model "Dividend Optimizer" portfolio had increased +16.2% over the previous year!

     Excuse me if I brag a little, but that's quite a feat given that dividend cuts among the S&P 500 last year came to more than $40 billion. Even companies like Bank of America, which had increased dividend payments annually for 25 years, were forced by the financial crisis to cut back last year. But only one of our picks cut its dividend
(by -7.8%) while the other 18 either held flat or rose, by as much as +111.5%.

     How are we sidestepping the dividend cuts that have hammered so many other investors?

     Simple: We focus on safety as much as yield. We've been avoiding run-of-the-mill stocks in favor of investment-grade preferred shares and exchange-traded debt. For example, Capstead Mortgage Preferred B, which carries a rich yield of 9.5% and sends you a steady monthly check, and has held stable amid the market tumult.

     Preferred stocks have come through time and again for us at High-Yield Investing. Our A&P 9.375% preferred stock is yielding 14.3%... giving us a super-safe $14,300 per year on a $100,000 investment. A&P and its 450 supermarkets would have to crumble into the sea before it cut our payment.

Win the Race Before You Start

       The industries we cover in High-Yield Investing are delivering some of the highest dividend yields on the planet. In fact, almost every name in our portfolio is yielding more than the historical stock market return of 9% a year. So we're beating the market right out of the gate in dividends alone!

     We're finding high-yielding stocks, funds and ETFs that are showering our subscribers with more cash than they know what to do with.

     You might be surprised how "boring" some of these cash cows are. For example, we've discovered a business that invests in toll roads, tunnels and airports that yields 18.5%!

     This firm rakes in fees paid by billions of consumers around the world every day. And because this revenue is almost recession-proof, it means predictable cash flows and steady dividends for us.

     If you'd like the details on this Steady Eddie--plus a steady stream of stocks, funds and other investments with abnormally high dividend yields--please accept my invitation to try High-Yield Investing.

     Like a constant wind at our back, every investment we make is supported by a generous and steady yield. This puts a strong floor of support under its share price.

     Just take a look at this Special Report. You'll see why high-yielding securities tend to plow steadily ahead in every economic climate...and exactly where we're finding the most bullish opportunities now.

The Most Crucial Investment Decision of All

       High-Yield Investing is based on the most crucial wealth-building decision an investor will ever make: how they treat the overlooked stepchild of Wall Street, the lowly dividend.

     Although little respected and often ignored, more than 137 years of data point to the inescapable conclusion that owning humdrum dividend-paying stocks... and then reinvesting those dividends... beats all other investment approaches hands down. So if dividend-paying stocks make you yawn, it's time to wake up and smell the cash.
 

Your Choice: $1.07 Million or $67k?

     Since 1926 dividends have contributed 40% of the total return delivered by the S&P 500. This makes a massive difference over the long haul. A $1,000 investment in the S&P 500 in 1935 would be worth $1,079,426 today with dividends reinvested, but a mere $67,026 without the dividends.

     Underestimating the awesome edge income-paying securities give you is the biggest mistake you can make in your investing life.

Dividends: Your Secret Weapon

By Carla Pasternak, Co-Editor, High-Yield Investing

Dividends are the forgotten heroes that have made countless investors rich. When people talk about the massive gains common stocks have racked up over long holding periods, what they're really talking about is the phenomenal juggernaut effect of reinvested dividends.

Look at the history of Coca-Cola. It went public in 1919 at $40 a share. By 1998, a single $40 share was worth $250,000. But with its growing dividends reinvested it was worth a stunning $5 million. (By the way, that original $40 share is now throwing off $56,000 in dividends a year!)

Bottom line: Dividends matter big time. And increasing them matters even more. When dividends grow unusually fast, you can make staggering profits even if the share price never budges. Your dividend check can eventually grow so large that it surpasses the original price you paid for the stock.

The exhilaration of "lapping" your stock that way is a feeling you never forget.

Why not put yourself in a position to enjoy that feeling yourself someday? Let High-Yield Investing's dividend-heavy wealth building system help you lock in a lifetime stream of growing income. Claim your no-risk trial subscription today!
 

Higher Yields = Higher Safety, Too

       A key reason that dividend-paying investments have clobbered the competition is because they fare so much better during bear markets.
 
      Over the vicious three years of 2000, 2001 and 2002, the stocks in the S&P 500 that paid dividends actually rose 10.4%, while the nonpayer
sank -33.1%.

     There have been plenty of 10-year periods where dividends provided the only return for the S&P 500. Something tells me we're in the middle of one of those stretches right now.

The Last Free Lunch?

       I'd never claim that every stock in your portfolio has to be a high yielder -- but dividend-paying investments offer the most compelling risk-reward trade-off you can find.

     They also give you a smooth path to wealth instead of heart-stopping peaks and plunges.

     Dividend-paying stocks are much less jumpy than their stingier brethren. In fact, they have been only 10% as volatile as the market while producing their market-beating returns. It's one of the few free lunches in investing: You can get better returns and lower risk just by purchasing dividend-paying stocks.

     The odds are so kind that it's hard not to come out ahead when you invest this way. I am constantly amazed that more investors don't help themselves to this delicious free lunch.

     Our mission at High-Yield Investing is to bring you a full buffet of these wealth-building delicacies. If you want to keep your money out of long-term losers like bank accounts and CDs and put it to work in tireless investments that will never stop making you money, you're in the right place.

Put Some Security Into Your Securities

     Every one of the high-yield opportunities we bring you every month offers the two things we cherish most: a long history of honest-to-goodness growth (as opposed to contrived growth engineered by accounting fictions) and a generous record of dividends.

     Our picks operate solid businesses with increasing profits and they share these profits with their shareholding owners by paying them generous cash dividends.

     It's not the specific level of yield that matters to us -- although it's a great feeling to pocket 10% a year in cash while other investors are watching their stocks sink.

     What really counts is that they simply pay them. Dividends are a sign of financial strength, of a real business making real profits.

     And owning companies that keep increasing their dividends makes us even happier. The only way to consistently raise dividends is by growing cash flow. And any company that can do that year after year will create you a near-miraculous pile of money, as we'll now see...

Steady Wins the Race

Introducing Wall Street's Safest Millionaire-Makers

Would you like to know the best kept secret on Wall Street?

I'm thinking of a safe investment that yields you up to 9.7% in cold cash and offers likely capital gains within the year of 20% to 30% on top of that.

It is a monopoly that produces something every one of us uses every day.
It has a guaranteed rate of return; its profits are mandated by law.
It's arguably the most recession-proof stock you can buy.
It pays by far the highest dividends on Wall Street, easily twice the yield of the Dow Industrials

Give up? I'm talking about plain old-fashioned utility stocks.

Old-Fashioned Investing

Notice I said "old fashioned." I'm talking about old-school regulated utilities. The kind whose profits are set in advance by law. The kind our grandfathers used to buy: basic electricity, water and natural gas providers.

Since the market broke down in early 2000, these stocks have literally saved the financial lives of their fortunate shareholders. These resilient old-fashioned wonders have posted a +91% profit while the S&P 500 is down -31% and NASDAQ has plunged a chilling -67%.

Unparalleled Safety

Their generous and dependable yields come from the flow of cash generated by services the average American simply cannot live without.

Everyone buys electricity, heat and water, even when money is tight. They may cancel the Caribbean cruise, but they're not going to sit around in the dark taking cold showers with rainwater. That unwavering, non-stop demand is a luxury that very few providers of any product or service enjoy.

It's hard to lose when you sock away some money in these high-yielding beauties for anything remotely approaching the long term: No regulated utility has ever, ever gone out of business. Not one.

Your Portfolio's Life Jacket in a Market Storm

The constant demand they enjoy not only makes utilities extremely recession-resistant -- it also makes them one of the best possible places for your money in a bear market.

Our income-paying utilities outperform the average growth stock
by a mile when the market is floundering. In fact, because they're viewed as safe havens, money flows into them during bear markets, driving up their values.

We love them so much that we've just released a special report on our five absolute favorites. Best Utilities You Can Buy Now is yours free with a subscription to High-Yield Investing.

Paul Tracy

     Philip Morris (now renamed "Altria"), which most investors dismiss as a stodgy -- even boring -- company, is a perfect example of this phenomenon.

     There's nothing fancy about making cheese, coffee and cigarettes. But with its high dividends and years of 15%-20% growth, "Big Mo" has thrown off some of the best long-term returns of any investment of the past two decades.

      While $10,000 invested in the S&P 500 in 1988 grew into a substantial $83,975 by 2008, that same $10,000 put into Philip Morris exploded into $347,715. You can attribute the bulk of that remarkable 34-fold gain to Philip Morris' 20-year record of high and rising dividends.

     But that's just the start of the story. Anyone who bought 200 shares back in February 1988 (then costing $17,350) was receiving $17,922 every year in dividends alone by 2008. That's more than their initial investment!

     To top it all off, Altria then spun off its Kraft subsidiary, awarding our original 200-share buyers with 4,078 new shares of Kraft worth $125,806. And believe it or not, these Philip Morris investors incurred 22% less risk than the market during their 20-year ride.

     Talk about enjoying the best of both worlds!

     Like subscribers to High-Yield Investing, these investors gave up nothing on their path to wealth, while enjoying a priceless peace of mind along the way.

     To be fair, the Philip Morris/Altria story is a particularly strong example of the miracle of compounded dividends. But it's far from unique. You can find similar results from any number of steady but unspectacular stocks with long-term records of high and rising dividends.

     Take Johnson & Johnson for example. Buying 200 shares of J&J at the same time in 1988 would have cost you $15,675. By reinvesting J&J's fat dividends into more stock, by 2008 you would have had 4,624 shares worth $291,978. And your shares would be throwing off $7,676 in dividends a year.

     Years before it merged with Mobil, Exxon was paying steady dividends. $8,400 would have bought you 200 shares. In 20 years, those 200 exploded into 1,550 shares worth $133,946... and your dividend of $2,170 per year gives you a 25.8% yield on your capital.

     Just as you would expect, this "dividend effect" works like a charm in the high-yielding utility arena. Look at Dominion Resources. In 1988, 200 shares of this old workhorse would have set you back $9,425. By 2008, you'd have had 1,849 shares worth $79,489... and be pocketing $2,921 per year in dividends, to boot.

     Likewise with Southern Company: 200 shares in February 1988 cost $4,800. Two decades later, you'd have 1,264 shares worth $45,980. And you'd be getting $2,036 in dividends per year (a 42.4% yield on your original investment).

     Another place dividends work wonders is in REITs. 200 shares of Washington REIT would have cost you just $4,825 back in 1988. By reinvesting dividends, over the intervening 20 years you'd have 1,346 shares worth $42,341 -- and you'd be getting $2,275 (47.1% of your buy-in cost) in dividends every year.

     With dividend growth like that, you can make staggering profits even if the share price never budges.

Capture a 9.5% Yield Backed by the Federal Government

Even in this worst economic downturn since the Great Depression, one security has offered ultimate safety for investors--preferred stocks.

Not only do preferreds pay higher yields than common stocks, but their payouts are safer. Preferred shareholders are higher on the pecking order than common shareholders--which is why they're called "preferred." If a company runs into trouble, it must pay preferred dividends before common-stock dividends.

The S&P 500 is down roughly -35% over the past 12 months. The prospects for a speedy economic recovery are slim. But the meltdown in the credit markets has resulted in a surprising silver lining: many safe, investment-grade preferred stocks carry rich double-digit dividend yields.

A six-month CD will net you just 1.7%. The average bond yield is still only 5.5%.

But preferred stocks are yielding 8.7%. One preferred we especially like has a "AAA"-rated portfolio backed by the federal government... and is paying 9.5%.

In the December issue of High-Yield Investing, we examined a preferred stock from a company whose business model is sheer genius: It uses low-cost, short-term loans to buy government-secured mortgage-backed securities. It borrows at a low rate, collects a higher rate and pockets the spread. Simple, but elegant--and the preferred shares pay a rich 9.5% yield.

Since its 1992 IPO, this preferred stock has made 188 consecutive payments -- come rain or shine. And in this tough past year, it has held up superbly, posting a total return of +11.0%--outperforming the market by +44.3 percentage points!

Want the full story on this security's government-backed holdings and legally obligated monthly dividend payments? Join High-Yield Investing and you'll get all the details right away! – Paul Tracy

The Investment Thrill Reserved for Income Investors Only

       As we just saw with Philip Morris, your dividend check can eventually grow so large that it surpasses the original price you paid for the stock. The exhilaration of "lapping" your stock that way is a feeling you never forget.

But you'll never experience that "dividend high" unless you own stocks that pay them! That's why every single investment you'll find in High-Yield Investing has a yield.

And not just any yield, but a bare minimum of 5% before we'll even take a closer look.

We're Not Allergic to Capital Gains, Either!

It's a funny thing about the high-payout companies we dig up in High-Yield Investing: hold them long enough and before you know it, you're usually sitting on a nice-sized capital gain as well.

When we featured DryShips, Inc. for $11.35, it was yielding 7.1%. While the dividend came in like clockwork over the next two years, the share price skyrocketed to over $90, handing us a whopping 711% capital gain.

Likewise with another shipper, Diana Shipping. We featured this one at the same time as DryShips, because its 12.7% yield caught our eye. But the stock then proceeded to jump 163%, for a triple-our-money total return of 217%.

     Sometimes the dividend itself rises so high and so fast that capital gains are beside the point.

In October 2004 we added a stock to our portfolio at $57.41. Within three years it paid us dividends totaling $43.68. So we almost had our stock for free at that point.

We bought an oil royalty trust at the same time at $41.33 per share. It was paying a $3.82 dividend for a yield of 9.2%. Now it's paying $8.88 a share, giving us a 21.5% yield on our original buy-in price. Meanwhile, the shares are trading at over $50, for a total return of +142%.

Even so-so yielders like most utility stocks can surprise you. Edison International wasn't paying a whole lot when we bought it. But we knew its dividend was reliable. Edison's payout rose 53% and its share price doubled, giving us a 113% total return.

     You get the picture. When you own a steadily growing cash machine, good things tend to happen. You either pocket paycheck-size dividends on a regular basis, or watch your pile of beans grow into a mountain of cash.

Tax Savings, Too

       Everyone wants to minimize taxes. We show you municipal bond funds and other investments where every penny of your generous dividend can be TAX-FREE.

     These are great investment options if you're in a higher tax bracket. Even if you're not, who doesn't want to shield as much of their income as they can?

     One of our favorites yields a nice 9.4% and 80% of your dividend is tax-free. Try to find a muni bond as generous as that!

Keeping Management Honest -- and Getting a Fair Shake

     Dividends not only require executives to use capital efficiently, they also send a clear message that management is putting shareholders first and treating them right by paying them the profits they deserve as co-owners of the business.

     What's more, a steady stream of dividends indicate that a company is on the up and up and keeps straight books. You can hide a lot of bad news with tricky accounting, but you can't fake dividends.

The Incredible Disappearing Dividend

      2008 was the most brutal year ever for dividend cuts in the S&P 500. 61 companies eliminated a total of $40.6 billion in distributions.

     And the pace is accelerating. In the first two months of 2009 an additional $30 billion in dividends evaporated.

     In February GE slashed its distribution by 68%. Wells Fargo followed suit with an 85% cut in March. These are just two examples out of dozens of battered financial firms slashing dividends to save capital. Two years ago, the financial sector accounted for more than 30% of the dividends paid by the S&P 500. Now it's just 10.8%.

     As the recession eats away at profits, some of the biggest corporate names in the country are cutting dividends -- or eliminating them altogether. Even the so-called dividend aristocrats like Bank of America and Pfizer -- whose dividends were considered untouchable -- have felt the axe.

Harder to Find -- But More Important than Ever

     Just as they become an ever-more important part of your total return, dividends are disappearing everywhere you look. No wonder thousands of beleaguered income investors are turning to High-Yield Investing for help.

In this wasteland, we're managing to find cash-rich companies that are increasing dividends. Archer-Daniels Midland recently boosted its payout. So did Coca-Cola, Monsanto, Wal-Mart and Kimberly-Clark.

     And that is crucial. According to Ned Davis Research, firms in the S&P 500 that raised dividends gained an average of 8.8% per year between 1972 and 2008. Those that cut dividends or never paid them produced zero return over the entire span.

Locking In Fat Annual Stipends for a Song
By Carla Pasternak, Co-Editor,
High-Yield Investing

What a difference a year makes. For the same "down payment" that would have secured you just modest income a year ago, you can now set yourself up with a fat income stream that could last the rest of your life.

For instance, if you invested $100,000 in Endesa last May when it was yielding 9.5%, you would have "bought" yourself an annual distribution of $9,500. But just one year later, Endesa is offering a 19.4% yield, and a $100,000 investment now gives you an annual distribution of $19,400 -- or +104% more income.

And that's a conservative example. Investors who put $100,000 into the Qantas Airways a year ago locked into a 5.1% yield and are enjoying annual dividend payments of $5,100. But investors who were lucky enough to invest just one year later captured a yield of 25.7% and are receiving $25,700 annually -- or +404% more -- for their same $100,000 investment.

Spark Infrastructure Group has been hit hard by the global economic slowdown. If you had put $100,000 into Spark a year ago, you would have locked in an annual payment of $10,800. If you bought it now, you'd be pulling in $18,800 -- a "raise" of $8,000 every year!

Similar story with Macquarie International Infrastructure Fund. You can now get $19,900, up from $9,900 last year.

Pennsylvania REIT invests in shopping centers around the country. It was paying $8,500 a year ago on a $100,000 investment. You can now get a princely $29,000 annually for that same $100,000. You'll have your money back in less than three years at that rate.

Shipping firm Capital Product Partners will pay you $28,900 on your $100,000. A year ago, you would have gotten just $7,400.

You'll strike plenty of payoffs in the oil patch. Invest $100,000 into MarkWest Energy Partners and you're buying yourself an income stream of $16,300 per year. A year ago you would have secured a cash flow of just $6,100.
 

     So it's clear that dividend-paying stocks have crushed the broad market over the decades. And we expect this trend should continue as investors look to dividends to capture some cash flow in a stingy market.

     There's another big-picture factor at work here: The oldest Baby Boomers turned 60 in 2006 and are now entering retirement. This means the leading edge of a generation 76 million strong will soon find itself searching for stable, income-producing investments to replace their regular paychecks. This trend will continue for at least another 20 years as the Boomers continue to progress.

     Meanwhile, don't forget that the tax code still favors dividends over regular income. Unlike ordinary income, which is taxed up to a rate of 38.6%, you lose only 15% of your dividends to the taxman.

Safety Is Everything

       To make sure your dividend is SAFE, we put cash flow under an analytical microscope. We dig deep to reveal which yields are treasures and which are traps.

     This is vital, because it gives you an early warning if any of your money is in danger. We're fanatical about digging out bad news.

     In a vicious bear market, like this one, our stocks don't escape scot-free. But they take on a lot less water than other stocks in a market storm. And the dividends they pay tend to keep going up, up, up... just as they rose by +16.8% during the absolutely brutal period of October 2007 to October 2008.

     If you're at a point in life where you simply can't afford the damage a bear market will inflict on your stocks -- or to have your income wiped out by creeping inflation -- you'll appreciate the peace of mind these reliable high-payers offer.

     Their income streams are rock solid, not the phony pumped-up payouts that attract so many misguided "yield junkies" who discover too late that their exorbitant yields are fool's bargains. Buy them now and they'll shower you with rising income and share prices over the long haul.

It's Time to Buy this 18.5% Yielder Backed By Uncle Sam

By Carla Pasternak, Co-Editor, High-Yield Investing

Every month we spotlight a unique income security that offers an irresistible combination of yield and growth.

So if you're looking for high dividends with a good shot at a capital gain, you'll love our current "Income Favorite."

This stable, diversified REIT borrows money to invest in mortgage-backed securities. Not just any mortgage securities, mind you, but only those whose principal and interest are guaranteed by U.S. government-backed agencies.

In the Right Place at the Right Time

This company is in the perfect sweetspot. It profits from the spread between what it pays to borrow and what it gets on its mortgages. Bank borrowing rates are at 50-year lows and much lower than mortgage rates -- the perfect scenario for a company that profits from the difference between the two.

They're playing the game at a higher level than the competition. Any mortgage investor that made it through the subprime mess without a scratch has to be managed by some pretty sharp people. The bottom line is growing so fast that shareholders are raking in a hefty annualized yield of over 20%.

The key is their incredibly low borrowing costs. Their investment portfolio yields 5.04% against borrowing costs of just 2.63%. That gives them an unusually profitable spread of 2.41%. (To put that in context, one of the biggest mortgage REITs last year earned an almost identical 5.03% on assets but paid borrowing costs of 4.08% for a spread of just 0.95%.)

After successfully navigating through the most tumultuous mortgage market in history, the company is on track to continue its impressive earnings streak and fat payouts. The six analysts who follow it are projecting earnings to rise +50% in the months ahead.

Trouncing Competing Yields

Like any REIT, our current pick distributes almost all of its available cash and capital gains to shareholders every year.

Not only is this company giving its holders a yearly cash payment averaging 18.5% on every dollar they put into it, but looking ahead, it can also give you a piece of the eventual resurgence in real estate.

There's no guarantee, of course, but invest $50,000 now and you're looking at a nice little stipend of $9,250 a year. And that's just in the first year. As long as the dividend payout remains steady, your income will roll in year after year -- and increase as it compounds its assets.

By comparison, the 3.2% yield offered by the S&P 500 looks downright puny. Even the Dow Jones Select Dividend Index, with its 5.2% yield, can't hold a candle to this cash cow. And Treasury bonds? Forget it. The 10-year Treasury note currently pays a measly 3.2%.

Corporate bonds don't come close either. 10-year "AAA" rated corporate paper yields just 5.5%. Not horrible, but not even in the same ballpark as our pick. It would take more than three years for corporate bonds to pay you what our "Income Favorite" will pay you in the next 12 months.

You'd expect a security like this to trade at a steep premium valuation. But this REIT is actually trading at a steep discount to the value of its assets. This gives you a rare chance to purchase a solid portfolio of assets for just 95 cents on the dollar.

What Gives This Issue Its "Edge"
Over the Competition?

Impressive Yield -- This REIT's 18.5% annualized yield is one of the highest available on the market today.
Growing Dividends -- Our "Income Favorite" has paid dividends like clockwork since its inception. And thanks to outstanding growth in its portfolio holdings, its payments have been rising steadily.
Discounted Share Price -- This rare gem is now trading for 5.1% less than the book value of its assets. That means you can scoop up $100 of portfolio securities for just $94.90.
Good for Retirement Accounts -- REIT income is taxable at the ordinary income tax rate, making it suitable for a tax-deferred IRA type of account.
Conservative Financing -- With equity of $258 million and debt of $1.35 billion, our pick has a low 5.2 debt-to-equity ratio. Compare that to an average of about 8.1 for its mortgage REIT peers.

With all of these bullish factors in its favor, you might want to lock in this security's abnormally high yield today while it's still available.

Plenty More Like This One Every Month

In each issue we uncover dozens of companies that offer mouthwatering dividends and strong capital gains potential.

One of our most recent picks is something you don't run into every day: an Enhanced Income Security. This unusual stock/bond hybrid gives investors the stability of a bond, plus the upside of a stock.

Thanks in large part to its unique corporate structure, it is now delivering a fat 19.4% yield -- five times the S&P 500's. And because it operates in the non-cyclical packaged-food business, it should continue to deliver steady dividends in just about any economic environment.

Try this Unique Service and Relax While
Your Wealth Grows

If you want a portfolio of reliable investments, there's no better place to look than in High-Yield Investing.

The investments you'll find in our monthly service combine market-beating gains with a patient, relaxed approach to wealth-building.

You won't have to nervously check your account every day to know you're making good money. They offer you a way to build your wealth and set yourself free to enjoy life, too. They may not be flashy, but these dependable investment winners have made rich men and women of thousands of investors, and they can do the same for you if you let them.

Examine High-Yield Investing at Our Lowest Rate Ever...
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We're confident that once you examine your first issue of High-Yield Investing you'll become a subscriber for the long haul. So we invite you to try it out for only $39.50 for three months. For less than $40 you'll be on your way to generating thousands of dollars in annual income for the rest of your life!

Subscribe for one or two years and you'll save even more. Act today and you can register for a two-year subscription to High-Yield Investing for just $179. That's $79 off our regular rate!

Please note that all new subscriptions come with zero risk. You can cancel at any time during the first 90 days and receive a full refund. We'll return your entire subscription fee -- every single cent. You'll also get to keep all your in-depth research reports as our thanks for trying out the newsletter.

Even after the first 90 days your subscription still comes with no risk. You can cancel at any time for any reason you wish and receive a refund for remaining issues.

Why not click below to subscribe today and lock in the information you need to take your portfolio to the next level in the months and years ahead. You'll get our current "Income Favorite," up to two years of High-Yield Investing, access to members-only web site content and model portfolios, mid-month email updates, plus our special in-depth research reports.

Everything We Buy Passes Through Our Financial
Boot Camp

       Any knucklehead can generate a list of high-yielding stocks in about 5 minutes on his or her home computer. That's no way to find quality investments.

     By contrast, we put every stock, bond and mutual fund through a unique analytical boot camp before we even think about recommending it to you.

     We call it our "Dividend Optimizer." This model identifies securities with key traits of safe and lasting income streams. It then ranks them from best to worst based on our unique scoring system. No one else has this proprietary ranking mechanism.

     While the inner workings of our rating system are complex, its results are crystal clear. Your investment life will never be simpler. You supply the start-up capital and High-Yield Investing does the rest.

     We'll tell you where to put the money and when and where to move it around. You won't trade much. Why should we fritter away our money on commissions, taxes and bid/ask spreads? That's plain dumb. After all, the biggest profits are always made by the steady momentum of compounding. We want you to get rich -- not your broker.

     That brings us to another point: Brokers rarely push the kind of investments we specialize in. There's just too little in-and-out action for their tastes. Our picks are so reliable... so safe... and pay such high dividends that you can buy 'em and lock 'em away for years. You won't want to sell them. And that means zero commission for your broker. So don't expect Wall Street to advertise their great dividends and fantastic long term records to you.

We're In this Together

        At High-Yield Investing, all we do is help you profit from dependable cash-in-hand securities that steadily steamroll ahead, compounding their gains into ever-higher total returns. We report to no one but you. If our recommendations don't increase your wealth, we know we will lose your trust and your readership. And we'd deserve to.

     We accept no advertising. Nobody owns us. And we track all of our recommendations, so you always know how much money we're making for you.

     We have one purpose and one purpose only -- safely making you wealthy. Without a lot of nail biting and never more than a thimbleful of risk.

     On the contrary, when you try High-Yield Investing, the risk is all ours. (Try getting your broker to take a risk.) You don't risk a penny with our 100% money-back guarantee.

     Why do we offer such a generous guarantee? Because virtually no one uses it! They're too happy beating the tar out of the market.

Your Two Portfolios

#1) "Dividend Optimizer" Portfolio -- We use our "Dividend Optimizer" model to find stable, growing companies yielding at least 5%. We want these stocks, bonds, funds and other securities to have long track records and strong future prospects.  These are investment ideas that you can count on to deliver above-average income year-in and year-out.

     These stocks are true mattress stuffers -- the kind you can buy and forget about. We wouldn't be surprised if they throw off dividends and capital gains of 100% in the next three to five years.

#2) "10%-Plus" Portfolio-- Here's where you'll find some of the highest-yielding investment ideas on the planet. Everything in here offers an annual income stream of 10% or greater. Here's what else we want to see:

a long track record of improving earnings. In general, the longer a firm has been profitable, the more likely it is to deliver steady returns in the coming years.
a history of consistent and growing dividend payments. We want to see steadily increasing dividends with no declines or missed payments.
strong cash flows. Since you can't  pay dividends without cash, we need to find companies that are generating above average amounts of cash each and every year.
strong projected growth. Growing firms are more likely to be able to boost their dividends in the future.
a sustainable payout ratio. Firms occasionally pay out 100% or more of their earnings to shareholders. They can't do this for long without cutting their dividend. We avoid firms with unsustainable dividend payouts.

        You'll get the full details on every one of the gems our system turns up when you join our service.  But first, let's look at one of our very favorite stocks right now...

Our Favorite Cash Cow As We Go to Press

       This dividend machine has surged +301% in the past five years, and it's still a strong buy.

     For starters, this Alaska oil-field play features a CD- crushing 12.9% yield, thanks to a dividend that has risen ninefold over the past decade.

     More important, however, is what's driving that dividend growth: powerful profit growth. This low-cost, strongly financed and aggressively managed outfit is a perfect example of the type of lean growth machines we want to own.

     We recommended this stock because we were impressed by its dividend record. It has made quarterly dividend hikes year after year, despite volatile oil prices.

     As long as strong demand and tight supply keep energy prices high, this trust will be swimming in cash.

     Traded on the NYSE, it has surged more than 27 to 1 since the year 2000. Tell that to anyone who says income investing is for widows and orphans.

     This is exactly the sort of low-risk/high-reward plays we describe in great detail in Cash Cows: Great Companies With 10%+ Dividend Yields. For your free copy of this special report, simply go here to subscribe today.

A Random Sample from Our Two Portfolios...
  Business Profile Dividend Yield
Mortgagor preferred stock
9.6%
Telecom preferred stock
10.2%
U.S. real-estate fund
9.4%
Lease-finance company
11.4%
Enhanced Income Security
14.1%
Food retailer preferred stock
14.0%
Closed-end fund
10.7%
Natural gas partnership
14.0%
Over the decades, stocks have returned 9%-10% a year. You can beat that right out of the gate in dividends alone with many of these high-quality high-yielders. Please understand that in fairness to our paying subscribers we can't fully identify our current recommendations here.

       The stocks you'll find in our free Cash Cows report are not only among the most generous stocks you can buy, but they're some of the safest, too. You can buy them, forget about them for years and let them steadily make you wealthy.

They yield up to 27.1% in cold cash... and they're wallowing in liquidity, which means your fat dividends are secure.

Join the Quiet Fortune Builders with High-Yield Investing

       If anything we've said so far makes sense to you... if you think that we're even half right about the extraordinary profits and peace of mind that cash-in-hand securities will bring their owners in the coming years, then we'd like to send you the most comprehensive source of information you can get -- our High-Yield Investing advisory letter.

     High-Yield Investing is the only periodical devoted exclusively to helping you make money in every category of income investing. Nowhere will you find a more thorough ranking of your income investment options than in this monthly investment bulletin.

     You'll be joining a growing brotherhood of like-minded income lovers who share our love for reliable investment ideas delivering above-average income and strong capital gains.

     One more thing -- it's important: We invest in quality ideas that sport annual yields of 5%-20% -- NOT in high-yield junk.

     And when I say "investment ideas," I mean not only stocks, but also bonds, mutual funds, preferred stocks, ETFs, royalty trusts, closed-end funds, Canadian income trusts, etc. We cover every class of income investment in High-Yield Investing.

     You'll find a few asset classes so exotic that you probably never knew they existed.

     Take Canadian Royalty Trusts for example. Thanks to a unique incorporation structure authorized by the Canadian government, cash-rich companies are converting themselves into dividend powerhouses yielding an average of 13.5%.

     But there's more to these cash machines than their fat payouts. Some of the trusts you'll find in High-Yield Investing have seen their share prices shoot up, too. One of Canada's best-known trusts, Canadian Oil Sands, has shot up 276% in the past five years alone.--and you know how horribly most stocks have suffered in the past five years.

     But please be careful before you venture north to grab these tempting yields. Dismayed at all the tax money they were losing out on, the authorities in Ottawa declared that starting in 2011, trusts would lose their favored tax treatment.

     We wouldn't panic if we were you. Two years is forever in politics and we wouldn't be surprised if the Canadian authorities reverse course on this issue, just as they've done three times before.

     Second, since the proposal provides a two-year grace period before existing trusts are taxed, you have a two-year tax holiday to continue raking in a lucrative income stream.

     Bottom line: it's hard to lose if you buy the right trusts now. Trust prices have fallen in the face of uncertainty, giving you a great entry point and super-sized yields. The actual businesses underlying these trusts haven't changed a bit.

     Remember, the current yields still hold until 2011. And even if they are taxed in the future, these companies will still be paying yields that dwarf your options here in the States. More than 110 Canadian trusts now yield more than 10%, and 40 pay more than 15%!

     We've just released a report on four extraordinary high-yielding trusts -- all safe for U.S. investors -- that you can get free as a new subscriber. (Keep reading for details.)

Land Lording for Dummies

There's no easier way to own bricks and mortar than buying a REIT. They let you own skyscrapers, shopping malls and apartment buildings, plus get all the cash flow of a lease -- along with the liquidity of a common stock and an inflation hedge to boot. And owning a REIT eliminates the hassle and legal liabilities of owning individual properties.

We're well aware that REITs have hit a rough patch, but getting in cheap now only makes your long-term gains all the better. There is still plenty of high-yielding value here -- IF you specialize in the right properties.

Most of our REIT picks are plenty safe enough for conservative investors. Others are better for risk-takers who want explosive gains potential. But they all offer high yields, with some in double-digits.

One of our favorites owns a broad mix of 250 hotel properties in 29 states... and has posted steady growth throughout the decade, raising its dividend 14 times since 2003, doubling it in the process. And its shares are cheap for a REIT of this quality, selling for just 10 times earnings. Get full details in your free copy of Real Estate You Can Trust.

Canada's Greatest Gift to U.S. Investors

For years dismissed by "sophisticated investors" as a provincial backwater of the securities industry, Canadian income trusts have blossomed into the darlings of Wall Street.

And it's little wonder. These remarkable cash cows yield five to 10 times more than the average stock... their dividends (unlike those of U.S. trusts) qualify for the low 15% tax rate... they tack on an extra profit if the U.S. dollar continues to drop... and they offer major capital-gains potential to boot. Prices have dipped on the news that trust taxes might rise in two years, creating some jaw-dropping dividend yields. We feature three overlooked gems here that boast yields up to 25.7%.

One of our favorites is a Calgary-based oil and gas producer that has paid reliable monthly dividends of 14 to 18 cents per share since making its first payment five years ago. As a bonus, it extracts enough energy from its own holdings to replace its current production, saving it the cost of buying new properties. Current yield: 14.1%.

A second winner produces more oil and gas every day than any other Canadian trust. Its unique ace in the hole:  four million acres of unexplored wilderness it can lease to drillers for a steady stream of cash lasting for decades.  Current yield:  25.7%.

All three of the picks in your free report trade right here on the NYSE...have delivered above-average returns... and with their superior yields, stable cash flow and outstanding dividend growth, they should continue to treat us well in the years ahead. Get the full story in your free report.

The Preferred Path to Wealth

       Speaking of out-of-the-mainstream income tools, right now we're finding some sparkling returns in preferred stocks. Choose them well and these hybrid securities give you the best of both worlds: the steady income of a bond and the appreciation of a stock.

     Like bonds, preferred stocks pay you interest every three months. And like common stocks, they can also hand you nice capital gains as the company grows.

     But when you buy a preferred stock, you have one huge advantage over common shareholders...

     When a company runs into tough times and cuts or cancels the dividend, it's tough luck for common stockholders. But when a preferred stock suspends payment, your payments accumulate on the ledgers and are paid in full when the company recovers.

     If you want an even higher level of safety, we'll introduce you to something called an "adjustable rate" preferred security. As its name implies, it adjusts its yield in tandem with interest rate changes, which means your principal remains steady even if rates rise. If rates go up, so does your payout. The only thing you miss out on is the heartburn other income investors are suffering as rates rise.

Start Your Own
Cash Machine Today!

       With the S&P 500 yielding 3.2% and CDs paying about 2%, you will never get the income you need to live and retire comfortably from the mainstream asset pools most investors swim in. Especially with inflation chopping your return off at the knees.

     By contrast, we have an entire portfolio of investment ideas that will pay you an annual cash income above 10% a year. And that's before we even talk about capital gains.

     So what do you say? Are you ready to put a little capital in Wall Street's overlooked millionaire makers?

     I'll make it very easy for you to get started. First, I'll send you the free Special Report I mentioned earlier called Cash Cows: Great Companies with 10%+ Dividend Yields that describes in full detail the mouthwatering opportunities I've mentioned in this article.

    My new report shows you how you can get safe yields of up to 27.1% right now... and possibly double or triple your money within two years.

     I'll send you this breakthrough report FREE when you take a trial look at the service that brings these tireless wealth-builders to your door every month: High-Yield Investing.

Subscribe Right Now and Receive
 FIVE FREE In-Depth Research Reports


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Cash Cows
Great Companies with 10%+ Dividend Yields

If it takes double-digit yields to make your income-investing heart pound faster, then this is the report for you. In this report we'll bring you an in-depth look at several proven income stocks that offer abnormally high yields of at least 10%.

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High-Yield Winners
Three Stocks with Hefty Dividends and the Cash to Keep Paying Them

The goal of this report is to point you toward a few select income stocks that are poised to deliver market-beating returns in the years ahead. If you prize high current income, outstanding growth, and above all reliability, then you'll love these steadily growing safe havens for your money.

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Northern Beauties
Three Great Canadian Trusts for Yield & Gains

If you want fat dividends, then it pays to look north. These remarkable Canadian trusts yield 5X to 10X more than the average stock . . . their dividends (unlike those of U.S. trusts) qualify for the low 15% tax rate . . . they tack on an extra profit if the U.S. dollar continues to drop . . .  and they offer major capital-gains potential.

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Best Utilities You Can Buy Now

Thanks to their monopoly status, utilities are some of the most solid and predictable companies on the market. With stable revenues and a track record of returning the bulk of their income to shareholders, utility firms have also been some of the world's greatest distributors of dividends. If you're ready to put a little capital in Wall Street's overlooked millionaire-makers, then this report is the ideal place to start..

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Real Estate You Can Trust
Three High-Yielding REITs with Safe Dividends

In this special report, we take a closer look at the rewards associated with investing in real estate investment trusts, or REITs. We also bring you a closer look at three high-yielding REITs that are poised to deliver market-beating returns in the years ahead.

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Join Me Now For as Little as $39.50!
 

     If you're ready to use High-Yield Investing to safely accumulate serious, lasting wealth, you're in luck. Because as a special introductory offer, you can get a full three months of this one-of-a-kind resource for only $39.50. And don't forget the special reports that I'll send you free.

     Or you can subscribe for a whole year of High-Yield Investing for just $99. You save $30 off of our regular rate of $129 and pay almost $60 less than you would with the quarterly subscription.

     Even better, why not choose the two-year option for just $179? You save 30% off the regular two-year price of $258 and receive three more brand-new investment reports free! It plainly makes sense to go for two years, because no matter how long you subscribe, you're protected by...

Our Total Guarantee

     Your subscription comes with absolutely zero risk. You can cancel at any time by clicking on the easy unsubscribe link at the bottom of every single issue we send you. Take 90 days to test the newsletter out. If you decide to cancel anytime within those first 90 days, then we'll return your entire subscription fee. You can keep all of our research reports as a thank-you gift just for giving the newsletter a try.

     Even if you cancel after the first 90 days, we'll give you a pro-rated refund for the unused portion of your subscription. You truly have nothing to lose.

Get Started Now!

       To start receiving High-Yield Investing and get your free bonus reports, just follow the link below.
 

       Please don't delay. Every day that your money languishes in a low interest CD or money-market fund -- or remains nakedly vulnerable in crash-prone stocks -- is another day you're missing out on the safe, high yields and stress-free capital gains our high-yield cash cows offer.

     If you want to put your money to work in a tireless investment that will never stop paying you back, please join us today in this "push-button" money maker -- all you need is a subscription to High-Yield Investing, a brokerage account and a mailbox to pick up your dividend checks in.

With best wishes for safe profits,



Carla Pasternak
Co-Editor

High-Yield Investing

Paul Tracy
Co-Editor
Chief Investment Officer

High-Yield Investing

P.S. Remember, you save more and get more with a two-year subscription! Join us for a double term and save a full $79 off the regular price... plus get three additional free investment reports: Northern Beauties: Four Great Canadian Trusts for Yield and Gains, Real Estate You Can Trust: Three High-Yielding REITs with Recession-Proof Dividends and Best Utilities You Can Buy Now.

Meet the Co-Editors of High-Yield Investing


Carla Pasternak draws on a variety of financial backgrounds to make profitable calls on income-generating stocks for her readers. With more than two decades of investment-industry experience, Carla has written for several nationally recognized financial publishers, and has also been president of a respected investor relations firm. A highly successful analyst in the high-yield arena, she focuses not only on dividends, but also on long-term capital gains. On the educational front, Carla holds both MBA and PhD degrees. When she's not watching the market, she's teaching college business courses and managing million dollar portfolios.


Before co-founding StreetAuthority.com, Paul Tracy was managing editor at a multi-million-dollar financial publishing firm. In addition to his role as managing editor and lead financial writer, he was also responsible for equity research and managing a team of seasoned professional financial writers, researchers and market commentators. Earlier, Paul held positions at Robert W. Baird and Co.'s full-service brokerage operations. His research has been funded by the National Bureau of Economic Research. He has appeared on several prominent financial radio shows, and has been a featured speaker at various investment conferences across the U.S.

 

A StreetAuthority Publication

High-Yield Investing is a specialized service from StreetAuthority -- a research-intensive advisory firm that is leveling the playing field for more than 350,000 small investors by giving them access to the insights of the country's top investment analysts.

How are we different?

       Experience -- Our team of researchers and editors has over a century of combined experience in the equity and bond markets. We've seen every type of market imaginable over the past several decades, and have the experience needed to invest under any conditions.

       Trust -- Our singular focus is on you -- the subscriber. We do everything we can to put your interests first.

       Unique Investing Methodology -- We specialize in investment ideas and opportunities overlooked by more conventional Wall Street sources. When you join us, you'll immediately notice the difference this makes. You'll find a focus on investment concepts, methods and ideas geared toward making you money -- not a rehashing of corporate news.

       Unbiased Research – Many financial publishers, brokerage firms and investment specialists accept advertising payments and promotional fees from the companies that they cover. Others are involved in a variety of business relationships with the firms that they write about. Not StreetAuthority. We pride ourselves on our independence as a 100% unbiased source of investing information. We accept no compensation of any kind from the companies we cover.